Budgetary allocation and social services deterioration in the fourth Nigerian republic (1999 to 2021)

Abstract

The deterioration in the education and health sectors is alarming and a concern to major stakeholders in Nigeria. This study examined the effect of the budgetary allocation based on 20% United Nations Educational Scientific and Cultural Organization (UNESCO) benchmark for education and 15% 2001 African Union Abuja declaration on the social services deterioration in the fourth Nigerian republic. Specifically, the study examined the effect of budgetary allocation efficiency in education and health sectors on human development index from 1999 – 2021. Corruption perspective index (CPI) and gross national income (GNI) per capita was introduced as control variables. Robust multiple regression analysis was used to analyzed the data. Results revealed that budget allocation efficiency in the education sector has significant negative effect on human development index while budgetary allocation efficiency on the health sector has positive significant effect on human development index. The implication of these findings is that the Nigerian state didn’t take education serious or that endemic corruption and budgetary indiscipline has overwhelmed the entire process. We recommend that state of emergency should be declared on education funding to avert further degeneration; funding of health sector should be increased at least to the level of the 2001 Abuja declaration; and increase citizen participation in the budgetary process to address the menace of corruption to foster accountability and transparency.

Keywords: Budgetary allocation, Social services deterioration, Corruption, Human Development Index (HDI), Gross National Income (GNI) per Capita

DOI: 10.7176/DCS/12-7-06

Publication date:November 30^th 2022